Question: Assuming 1979 as the base prepare new index numbers from the indices given below
Year: 1976 1977 1978 1979 1980
Indices: 100 110 125 250 300
Solution:
Base shifting from 1976 to 1978
| Year | Indices (Base 1976) | Base Shifting | New Indices (base 1979) |
| 1976 | 110 | (100×100)/250 | 40 |
| 1977 | 110 | (110×100)/250 | 44 |
| 1978 | 175 | (175×100)/250 | 70 |
| 1979 | 250 | (250×100)/250 | 100 |
| 1980 | 250 | (300×100)/250 | 120 |